Required information [The following information applies to the questions displayed below) Beech Corporation is a merchandising company that is preparing a master budget for the third quarter of the calendar year. The company's balance sheet as of June 30th is shown below: Beech Corporation Balance Sheet June 30 Assets Cash Accounts receivable Inventory plant and equipment, not of depreciation Total assets Liabilities and Stockholders! Equity Accounts payable Common stock Retained earnings Total liabilities and stockholders' equity $ 71,000 131,000 45,500 215.000 $ 462,500 $ 76,000 307,000 79,500 $ 462,500 Beech's managers have made the following additional assumptions and estimates: 1. Estimated sales for July, August September, and October will be $260,000, $280,000, $270,000, and $290,000, respectively, 2. All sales are on credit and all credit sales are collected. Each month's credit sales are collected 35% in the month of sale and 65% in the month following the sale. All of the accounts receivable at June 30 will be collected in July 3. Each month's ending inventory must equal 25% of the cost of next month's sales. The cost of goods sold is 70% of sales. The company pays for 40% of its merchandise purchases in the month of the purchase and the remaining 60% in the month following the purchase. All of the accounts payable at June 30 will be paid in July 4. Monthly selling and administrative expenses are always $48.000. Each month $5,000 of this total amount is depreciation expense and the remaining $43,000 relates to expenses that are paid in the month they are incurred. 5. The company does not plan to borrow money or pay or declare dividends during the quarter ended September 30. The company does not plan to issue any common stock or repurchase its own stock during the quarter ended September 30. Required: 1. Prepare a schedule of expected cash collections for July, August, and September 2-a. Prepare a merchandise purchases budget for July, August, and September. Also compute total merchandise purchases for the quarter ended September 30, 2-b. Prepare a schedule of expected cash disbursements for merchandise purchases for July, August, and September. 3. Prepare an income statement that computes net operating income for the quarter ended September 30. 4. Prepare a balance sheet as of September 30. Required: 1. Prepare a schedule of expected cash collections for July, August, and September. 2-a. Prepare a merchandise purchases budget for July, August, and September. Also compute total merchandise purchases for the quarter ended September 30. 2-6. Prepare a schedule of expected cash disbursements for merchandise purchases for July August, and September 3. Prepare an income statement that computes net operating income for the quarter ended September 30, 4. Prepare a balance sheet as of September 30. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Req 1 Reg 2A Req 28 Reg 3 Reg 4 Prepare a merchandise purchases budget for July, August, and September. Also compute total merchandise purchases for the quarter ended September 30. Merchandise Purchases Budget July August September Quarter Budgeted cost of goods sold $ 195,000 $ 210.000 $ 202,500 5 607,500 Add: Desired ending merchandise inventory 52,500 50,625 54,375 54,375 Total needs 247,500 260,625 256,785 661,875 Less: Beginning merchandise inventory 45,500 52,500 50,625 45,500 Required purchases $ 202,000 $ 208,125 $ 206,250 $ 616,375 Required: 1. Prepare a schedule of expected cash collections for July, August, and September. 2-a. Prepare a merchandise purchases budget for July, August, and September. Also compute total merchandise purchases for the quarter ended September 30, 2-6. Prepare a schedule of expected cash disbursements for merchandise purchases for July, August, and September 3. Prepare an income statement that computes net operating income for the quarter ended September 30. 4. Prepare a balance sheet as of September 30. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Req Reg 3 Reg 2A Req 20 Reg 4 Prepare a schedule of expected cash disbursements for merchandise purchases for July, August, and September. Schedule of Cash Disbursements for Purchase July August September From accounts payable $ 76,000 $ 76,000 From July purchases 80,800 121,200 202,000 From August purchases 83,250 124,875 200,125 From September purchases 82,500 82.500 Total cash disbursements 150.800 204.450 $ 207,375 5 568,626 Quarter Required: 1. Prepare a schedule of expected cash collections for July, August, and September. 2-a. Prepare a merchandise purchases budget for July, August, and September. Also compute total merchandise purchases for the quarter ended September 30, 2-b. Prepare a schedule of expected cash disbursements for merchandise purchases for July, August, and September 3. Prepare an income statement that computes net operating income for the quarter ended September 30, 4. Prepare a balance sheet as of September 30, Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Reg 4 Req1 Roq ZA Reg 28 Req3 Prepare an income statement that computes net 'perating income for the quarter ended September 30, Beach Corporation Income Statement For the Quarter Ended September 30 Sales S 810,000 Cost of goods sold 607,500 Gross margin 202,500 Selling and administrative expenses 168,000 Net operating income $ 34,500 Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 28 Reg 3 Reg 4 Prepare a balance sheet as of September 30. Beech Corporation Balance Sheet September 30 Assets Cash 123,875 Accounts receivable 175,500 Inventory 54,3753 Plant and equipment, not 191,000 Solo $544,750 Totalt Liabilities and Stockholders' Equity Accounts payable Common stock Retained earnings 0 $ 123.750 307.000 114.000 Total lobates and stockholders equity $544,750